A new survey by communication researchers at the University of Arkansas revealed that
Arkansas businesses frequently interact with state government online, especially for
routine tasks, such as paying taxes or applying for permits.

Attitudes that business people have about dealing with e-government vary according
to business size, the survey showed, with the state’s smallest businesses – those
with 10 or fewer full-time employees – preferring face-to-face interaction and other
traditional means of conducting business with government agencies.

“We think for them, it might be a matter of trust,” said Robert Wicks, professor and
director of the Center for Communication and Media Research in the J. William Fulbright
College of Arts and Sciences.

State governments are struggling to keep pace as more business is conducted online.
To understand how well it is serving Arkansas businesses and how it can improve services,
the state turned to Wicks and his colleague Ron Warren, associate professor of communication.
Wicks and Warren surveyed Arkansas business owners to assess attitudes about online
services and explore how these data can help the Information Network of Arkansas manage
Arkansas.gov.

The Information Network of Arkansas is a private company hired by the state to provide
online services to Arkansas businesses and residents. Services include tools for paying
taxes on online, applying for permits and accessing information about codes and regulations.

Wicks and Warren collected data from 368 businesses in Arkansas. Questions focused
on access to digital government, interaction between government and business, the
need of government services to assist business, and future online interaction between
government and business.

Although respondents were generally positive about online services, the survey revealed
significant differences based on the size of the business. The researchers analyzed
and compared data from four groups: very small businesses (1 to 10 full-time employees),
small businesses (11 to 20 employees), medium-sized businesses (21 to 50 employees)
and large businesses (larger than 50 employees).

The smallest and largest Arkansas businesses reported the least confidence with services
offered at Arkansas.gov. Respondents for the largest group felt that government websites
were less helpful for clearly understanding information about codes, regulations,
permits and other matters. These businesses also reported problems with resolving
conflicts between state and local regulations and not knowing whom to consult when
problems arise.

Small- and medium-sized businesses were more confident that their online work with
government offices was correct and effective, the researchers found.

“We think this is important, because these are the businesses we assume to be poised
for growth,” said Warren.

The survey revealed no differences based on respondents’ race and ethnicity but did
find that businesswomen generally had more positive attitudes about online government
than men and were more receptive to the idea of a potential business portal for government
services.

“One of the biggest needs business people have of online government is quick access
to clear, consistent and correct information that reduces the time they spend dealing
with online government,” Wicks said.

“Overall, the findings in this report reveal that Arkansas businesses are taking advantage
of e-government,” said Wicks. “But not all businesses report the same level of satisfaction.
We uncovered some vital areas of need, particularly for the very small and largest
businesses. Respondents in these categories were not as happy, and we think this is
where the state can focus on improving online services offered to Arkansas businesses.”

The report can be downloaded at the Center for Communication and Media Research website.

About the University of Arkansas: The University of Arkansas provides an internationally competitive education for
undergraduate and graduate students in more than 200 academic programs. The university
contributes new knowledge, economic development, basic and applied research, and creative
activity while also providing service to academic and professional disciplines. The
Carnegie Foundation classifies the University of Arkansas among only 2 percent of
universities in America that have the highest level of research activity. U.S. News & World Report ranks the University of Arkansas among its top American public research universities.
Founded in 1871, the University of Arkansas comprises 10 colleges and schools and
maintains a low student-to-faculty ratio that promotes personal attention and close
mentoring.